Parafin

Parafin was founded in 2020 in San Francisco by former Robinhood engineers Sahill Poddar, Vineet Goel and Ralph Furman, and builds embedded financing infrastructure for platforms and marketplaces. Instead of lending under its own brand, it lets a vertical SaaS provider, payment processor or marketplace offer working capital, a spend card and instalment payment to the small businesses already trading on it, white-labelled, with underwriting based on the transaction data the platform already holds.

Three products are offered: Capital for working capital advances, Spend as a corporate card, and Pay Over Time for instalments. Parafin runs underwriting, origination, servicing, collections and the capital markets side; loans are issued by partner banks including Celtic Bank, and funding sources include a forward-flow facility from Cross River Bank. Named partners include DoorDash, Amazon, Walmart, TikTok, Mindbody, Gusto, Jobber, Guesty, Hostaway, Xplor, Worldpay and NMI. It raised a USD 100 million Series C in December 2024 at a USD 750 million valuation and reports over USD 35 billion of offers extended to more than 50,000 businesses.

1. Capital: White-labelled working capital offers to small businesses inside the platform's own interface.

2. Spend: An embedded corporate spend card programme with rewards for platform merchants.

3. Pay Over Time: Instalment payment option offered at the point of transaction on the platform.

4. Data underwriting: Credit decisions built on the sales and payment data the platform already holds.

5. Full-stack servicing: Parafin handles origination, servicing, collections and capital markets; partner banks such as Celtic Bank issue the loans.

6. Platform partners: DoorDash, Amazon, Walmart, TikTok, Mindbody, Jobber, Guesty, Hostaway, Xplor and Worldpay.